Not everyone needs a living trust - here's how to know
By Rozsa Gyene, Estate Planning Attorney | State Bar #208356
Not everyone needs a living trust. If you meet ALL of these criteria, a simple will may be enough:
If any of these don't apply to you, keep reading - you probably need a trust.
California allows estates under $184,500 to skip formal probate using a simplified "small estate affidavit" process. This is a huge advantage for smaller estates.
Important: The $184,500 threshold only counts "probate assets." The following don't count:
Sarah, age 28, renter in San Francisco:
Result: Her probate estate is only $50,000 (savings + brokerage). The 401k doesn't count. A simple will is sufficient - her family can use the small estate affidavit.
If you're in your 20s or 30s, renting, and your biggest assets are retirement accounts with named beneficiaries, a will is usually sufficient. You can always upgrade to a trust later when you buy property.
Some retirees sell their homes and move to rental communities. If you've done this and your remaining probate assets are under $184,500, you may not need a trust anymore.
If the bulk of your wealth is in 401(k)s and IRAs with properly designated beneficiaries, those assets pass directly to beneficiaries. Only your remaining assets need to go through your will.
If you have a modest estate, adult children who get along, and don't care about privacy, the small estate affidavit process is straightforward and inexpensive.
| Situation | Best Choice | Cost |
|---|---|---|
| Renter, under $184,500 probate assets | Simple Will | $150 |
| Homeowner, any estate size | Living Trust + Will | $400 |
| Renter, over $184,500 probate assets | Living Trust + Will | $400 |
| Minor children (any estate) | Living Trust + Will | $400 |
The math is simple: If your estate would require probate without a trust, the $400 trust saves your family $27,000+ in probate fees. If your estate qualifies for the small estate affidavit, a $150 will is sufficient.
Many people start with a will and upgrade to a trust later. Consider upgrading when:
For those who truly don't need a trust, we offer a simple will package that includes:
This package is ideal for young renters, retirees without real estate, and anyone whose probate assets are under $184,500.
Our will package includes everything you need for simple estates.
Get a Will - $150 →If you own property or have over $184,500 in assets, a trust saves your family $27,000+.
Compare Trust vs Will →As of 2025, California's small estate threshold is $184,500. Estates under this amount can use a simplified affidavit process instead of full probate. However, this threshold applies to probate assets only - retirement accounts and life insurance with beneficiaries don't count.
Usually no. If you don't own real estate and your probate assets are under $184,500, a simple will is typically sufficient. Your family can use the small estate affidavit process to transfer assets without probate.
Consider upgrading when you: buy real estate, accumulate assets over $184,500, want incapacity protection, have minor children and want to control inheritance timing, or want to keep your estate private.
Not necessarily. Retirement accounts (401k, IRA) pass by beneficiary designation, not probate. If your non-retirement assets are under $184,500 and you don't own real estate, a will may be sufficient.
Our will-only package is $150, which includes a simple will, financial power of attorney, and advance healthcare directive. This is ideal for people who don't need probate avoidance.